FORMER finance minister Alexander Chikwanda says the open letter to the President on the state of Zambia’s economy written by six former government officials was nonsensical.
And Chikwanda says he is not responsible for Zambia’s debt crisis because he did his best to encourage fiscal discipline during his time.
Meanwhile, Chikwanda says people should not be in a hurry to call for President Lungu’s removal, based on “little uninformed opinions”.
Last week, former Bank of Zambia Governor Dr Caleb Fundanga, former finance ministers Ng’andu Magande, Dr Situmbeko Musokotwane and Felix Mutati, former Commerce minister Dipak Patel and former Economic Advisor to late President Levy Mwanawasa wrote a letter to President Lungu and Dr Ng’andu, expressing concern over Zambia’s current debt position.
“It may be true that external factors (climate change and COVID-19) have damaged the Zambian economy. But the main cause is man-made policy mistakes. The most significant mistake is excessive borrowing by the government, as well as inefficient and/or low priority use of funds. The Government needs to act now. We believe that Government must rapidly conclude a programme with the International Monetary Fund (IMF). This matter has been on the table for more than five years, without reaching a deal. We urge the government to take this matter with the seriousness that it deserves, and to come to an agreement before the end of this year. We believe that the most important matter in our economy is the debt problem. Excessive debt drives many of the current problems – huge repayments already mean that Government cannot fund budgeted programmes, mounting arrears are accumulating on many government contracts, and the business climate is strangulated,” read the letter in part.
But in an exclusive interview with News Diggers! Chikwanda said the former ministers should have sought an audience with Dr Ng’andu.
“We should never be seen to undermine the current minister especially ba Mutati who was only there for a year. I don’t think they have a script for rating Zambia’s news. It is beyond ministers of finance, it is a society issue. Just because the letter was signed by one Fundanga, Mutati and Musokotwane…I haven’t seen it but the letter could be nonsensical if subjected to serious scrutiny. Any citizen has got a right to contribute, but there is way of doing it,” Chikwanda said.
“I am chairman of the party’s finance committee which makes all economic policies so I have my channel (of communication). There have been some unwritten rules where we gave the incumbent space. When I was Minister of Finance, I was very grateful to Honourable Musokotwane, you never heard him make an attack on me and on matters which I thought were of national gravity. I did consult him. My first effort was to invite all the previous ministers of finance and we had a very good lunch. And also people like Edith Nawakwi were in the habit of attacking me, but I never bothered to reply to her. I read extensively and follow the financial media. I think the best thing for the ministers… why didn’t they have an audience with the Minister of Finance?”
He urged citizens to examine certain people’s motives behind their statements.
“And also if we can desist from personal agenda because a lot of people offer ideas but it is also a question of how they go about presenting that idea and the motive behind the ideas. All those things matter. They memorise a few slogans and then they dish out, they are not looking at the whole thing in depth. I wouldn’t have signed the letter first of all because I am a member of the central committee of the ruling party and I wouldn’t be part of that. I think my colleagues should cut their mind deeper and they can be a think tank but they should think more deeply other than just some small political gimmicks,” he said.
Chikwanda said there was need for people to understand the depth of the COVID-19 effects on Zambia’s economy.
“I would be confident that I am putting enough facts about this economy. You need to have a thorough understanding of the word economy because Zambia is very small part of the global economy. Our Gross Domestic Product as a country, however you measure it, is still a very small economy. Some of the big firms in the world it is not even 10 percent of the turnover of Microsoft or Amazon. And we have to put it in the context of the broader world economy. One must also understand what is going on in the economy in the context of Zambia relating it to the misfortunes we have suffered in terms of commodity prices. Two weeks ago, prices of copper was as low as US$4,100 per ton that is why foreign companies like Mopani are panicking to send the workers away because they are mining at costs which are unsustainable and our reaction as a country is emotional,” he said.
And Chikwanda said he was not responsible for the debt situation in the country.
“I am not responsible for the debt crisis. I ran the economy very well under the difficult circumstances. I made my own contribution. I tried to prevent financial irresponsibility and so on. I know how difficult it is to be a Minister of Finance, all these people who served as ministers what has been their contribution? I haven’t seen the letter myself I don’t even know what is there. I make submissions to government as chairman for the finance committee of the party. When my committee meets, we send proposal to the Central Committee which are quite significant. Economic issues are not a matter of a little common sense but you need adequate knowledge and that is the problem in Zambia. You have your little opinions much uninformed about something that you don’t understand,” he said.
Meanwhile, Chikwanda said people should not be in a hurry to suggest that President Lungu must be voted out.
“And the people [and] parties should organise themselves and not inconvenience President Lungu. He is not going to go out because (Brebner) Changala wants him to go away. So the people who could be disappointed with him could be there. People should not be in a hurry to see certain people exit because that is a wish of a composite group of Zambians. The decision about going forward will be made by the wider Zambians,” said Chikwanda.
17 responses
Ine ndelolesha fye….
From Kaunda to Chiluba to Sata, Chijwanda is Solely responsible for misuse of borrowed money. His interview is as useless as his work as minister of financial mismanagement.
The aged should rest. Its time for eating sweets, drinking sweet tea, tu nsunko and telling stories to great grand children and basking in the sun. Don’t embarrass yourself outdated economic theories that used to work in the 50s and 60 s. Start praying for you are in the afternoon.
Interesting rebuttal but as well meaning must be free to express our objective opinions. Matters of national economic interest must not be let with emotional defensiveness.
Here we are again. Our problem as hungry men, we are to quick to block out president from getting advice. When a critic is given, hungry lions quickly come in to make fun comments even before looking at the matter. Chikwanda participated in borrowing hugely and squandering heavily. He cannot say anything now.
This man is embarasing himself. He says he has not seen the letter himself but hw does he conclude the letter is nonsensical if he hasn’t seen it. How?Chikwanda is part of the mess the country is in. They were celebrating wen they got the loans wen pf came to power.we haven’t 4gotten.
The old man is being economical with the truth. How can he go ballistic over an article he claims he hasn’t even read? Isn’t that being too judgmental? I don’t believe the authors had any other interest except that of our country. I expected an answer/rebuttal befitting that of a seasoned economist for us to learn something. What is the problem Grandpa?
Science investigation; religion interpret. Science gives man knowledge, which is power; religion gives man wisdom, which is control. Science deals mainly with facts; religion deals mainly with values. The two are not rivals.the day we see the truth and cease to speak is the day we begin to die.power without love is reckless and abusive, and love without power is sentimental and anemic.power at it’s best is love implementing the demand of Justice,and Justice at it’s best is power correcting everything that stands against love.
Shameless old man! So you haven’t even seen or read the letter and you are calling it nonsensical? We are in this mess because of your wanton borrowing. You should be the last one to condemn those saying the truth. You brought misery to the Zambians bkos of excessive borrowing. Just keep quiet!
I agree with Chikwanda to some extent.
If the people who came up with the letter were doing it in good faith,why not endeavor to meet the current minister in person and probably do even much more than what was in the letter?
You judge man by three things:
1.His deeds
2.Behavior
3.Motive
Mr chikwanda’s reason for describing the Former Minister’s Letter , as nonsensical, is actually more nonsensical, lacks substance irrelevant and only protecting a PF Corrupt and Narcissistic Kleptocracy, which has ruined the Economy and brought hunger, poverty and suffering to the Masses.
Firstly, Chikwanda says he has not seen the letter, but how did he end up describing it as nonsensical? It all defies even the basic logic.
That letter addressed the core of the National Economic Malaise. It was not talking about the PF financial standing, although alluded to the plundering by PF Administration, which he is part of.
During the Kaunda era, Chikwanda was in the habit of publishing plagiarized materials that overly praised the N. Korea Leadership and Economy. It took Kaunda to stop Chikwanda from further publishing propagandistic materials.
Chikwanda’s reason for unfavorably describing that well meaning letter is purely Self Justification, Self Preservation, Self Enrichment, Self Engradizement and Self Glory- the Hallmark of the Corrupt PF Political Leadership.
Thanks for not posting my comment
FOOLS
Why is it that umuntu nga nanya na Mafi umwina nautulama, they still argue ati the Mafi Aya, elo teine nyele. Ba Chikwanda has been the worst so called Finance Minister who should be apologizing to the nation for the idiotic and chocking debt burden which he is not paying from his pocket.
Abantu bamo kuti nanya namafi umwina still alekana ati tanyele elo yalya te mafi. Ba Chikwanda you are the worst Finance Minister this country has ever had, you have plunged the lives of innocent children into the yoke of debt even those who are yet to be born and unless prudent managers come soon to workout a way to prevent the impending disaster, our children are doomed. Mulesumina nokuilolesha nga cacine abanenu balelanda. Insoni e buntu not pride even when your trousers is soiled.
These are most unfortunate gulus in this country who want derail bwalya ng’andu because they have heard and seen that he out do them,they have seen that bwalya ng Andy is Penza in making, the next best finance in Africa don’t your stance, we are behind you
The government should show us its policies because is I was to show u my payslip,the tax collections and every thing I buy am taxed meaning 60% of my earnings goes back to the government the cost of leaving is unfavorable for a common Zambian. Away from politics the pf is no longer a government for the people.